Deputy Commissioner of Income-tax, Circle - 6, Pune V. M/s. Shandar Interior Pvt.Ltd, Pune

MA 66/PUN/2021

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 5200 (ITAT-PUNE)
• Duration Of Justice: 1 year(s) 7 month(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 27-09-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2009-2010
• Appeal Filed On: 27-02-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect
• Section: 254(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH, C PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT AND SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER M.A. NOS.66, 67 & 68/PUN/2021 (ARISING OUT OF ITA NO.1592, 1593 & 1594/PUN/2018) / ASSESSMENT YEARS : 2009-10, 2010-11 & 2011-12 DCIT, CIRCLE-6, PUNE VS. M/S. SHANDAAR INTERIOR PVT. LTD., 64, ANURADHA APARTMENT, L.B.SHASTRI ROAD, NAVI PETH, PUNE 411 030 PAN : AACCS9221Q (APPLICANT) (RESPONDENT) / ORDER PER R.S. SYAL, VP : THESE 3 MISCELLANEOUS APPLICATIONS HAVE BEEN MOVED BY THE REVENUE REQUESTING TO RECALL THE ABOVE QUOTED ORDERS FR OM THE COMPOSITE ORDER OF THE TRIBUNAL PASSED ON 29.08.2019 . AT THE VERY OUTSET, THE LD. DR SUBMITTED THAT THE TRIBUNAL DISMISSED THE APPEALS OF THE REVENUE ON ACCOUNT OF LOW TAX EFFECT. ALBEIT, THE LD. DR, WHILE ADMITTING THAT THE TAX EFFECT IN THE CAPTIONED APPEALS WHICH WERE DISMISSED BY THE TRIBUNAL WAS LESS THAN RS.50.00 LAKH, BUT THE ADDITIONS WERE BASED ON THE INFORMATION RECEIVED BY THE ASSESSING OFFICER FROM THE SA LES APPLICANT BY SHRI SUDHENDU DAS & SHRI S.P. WALIMBE RESPONDENT BY SHRI SARANG GUDHATE DATE OF HEARING 17-09-2021 DATE OF PRONOUNCEMENT 27-09-2021 MA NOS. 66 TO 68/PUN/2021 M/S. SHANDAAR INTERIOR PVT. LTD. 2 TAX DEPARTMENT THAT THE ASSESSEE WAS ONE OF THE BENEFICIA RIES INDULGING IN THE HAWALA TRANSACTIONS. IT WAS ERGO PRAYED TH AT THE APPEALS FALL UNDER EXCEPTION PRESCRIBED IN CLAUSE (E) OF PARA 10 OF THE CBDT CIRCULAR NO. 03/2018 DATED 11-07-2018 RE AD WITH ITS AMENDMENT DATED 20-08-2018 AND HENCE, THE TRIBUNAL ORDER DATED 29-08-2019 NEEDS TO BE RECALLED FOR ADJUDICA TION OF THE APPEALS ON MERIT. 2. WE HAVE HEARD BOTH THE SIDES THROUGH VIRTUAL COURT AND SCANNED THROUGH THE RELEVANT MATERIAL ON RECORD. HAVING FOUND THAT THE TAX EFFECT IN THE INSTANT APPEALS REFERRED TO BY THE REVENUE IS LESS THAN THE MONETARY LIMITS OF RS.50.00 LAKH, THE TRIBUNAL DISMISSED THE APPEALS OF REVENUE BY VIRTUE OF CBDT CIRCULAR NO.17/2019 DATED 08-08-2019 REVISING UPWARD THE MONETARY LIMIT TO RS.50.00 LAKH FOR FILING OF APPEALS BY THE DEPARTMENT IN INCOME-TAX CASES BEFORE VARIOUS APPELLATE FORUMS. 3. AS REGARDS THE CONTENTION OF THE LD. DR THAT THE AP PEALS SHOULD NOT HAVE BEEN DISMISSED BECAUSE THE ADDITIONS IN THE SE CASES WERE MADE ON THE BASIS OF INFORMATION RECEIVED FROM THE SALES TAX DEPARTMENT ABOUT THE ASSESSEE INDULGING IN HAWALA TRANSACTIONS AND HENCE COVERED IN THE EXCEPTION CLAUSE OF THE CIRCULAR AS REFERRED TO ABOVE, WE FIND THAT SUCH A CONTENTIO N HAS MA NOS. 66 TO 68/PUN/2021 M/S. SHANDAAR INTERIOR PVT. LTD. 3 NOT BEEN COUNTENANCED BY THE PUNE BENCHES OF THE TRIBUNA L IN SEVERAL CASES INCLUDING ITO VS. M/S PARAM MARKETING ( ITA NO.1872/PUN/2019 DT.30-01-2020 ) AND ITO VS. YUSUF GULMMOHMMED PATEL ( ITA NO.1852/PUN/2019 DT.30-01-2020 ). NOT ONLY THAT, EVEN THE MISCELLANEOUS APPLICATION FILED U/S 254(2) ON THIS ISSUE HAS ALSO BEEN DISMISSED IN DCIT VS. M /S RANG RASAYAN ( M.A.NO.60/PUN/2019 DT. 14-01-2020 ). NO CONTRARY VIEW HAS BEEN BROUGHT TO OUR NOTICE ON BEHALF OF THE REVENUE. RESPECTFULLY FOLLOWING THE ABOVE PRECEDENT, WE ARE NOT INCLINED TO ACCEPT THE MISCELLANEOUS APPLICATIONS FILED BY THE REVENUE. 4. IT IS HOWEVER CLARIFIED THAT THE DEPARTMENT WILL BE AT LIBERTY TO PRAY FOR THE RESTORATION OF THE APPEALS IF IT FINDS TH E CASES COVERED UNDER ANY OTHER EXCEPTION CLAUSE OF THE C IRCULAR. 5. IN THE RESULT, THE MISCELLANEOUS APPLICATIONS ARE DISMIS SED. ORDER PRONOUNCED IN THE OPEN COURT ON 27 TH SEPTEMBER, 2021. SD/- SD/- ( PARTHA SARATHI CHAUDHURY ) (R.S.SYAL) JUDICIAL MEMBER VICE PR ESIDENT PUNE; DATED : 27 TH SEPTEMBER, 2021 MA NOS. 66 TO 68/PUN/2021 M/S. SHANDAAR INTERIOR PVT. LTD. 4 / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT; 2. / THE RESPONDENT; 3. ( ) / THE CIT (APPEALS)-4, PUNE 4. THE PR. CIT-3, PUNE 5. , , C / DR C, ITAT, PUNE; 6. / GUARD FILE. // TRUE COPY // / BY ORDER, // TRUE COPY // SENIOR PRIVATE SECRETARY , / ITAT, PUNE DATE 1. DRAFT DICTATED ON 17-09-2021 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 17-09-2021 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER -- JM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. -- JM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS 6. KEPT FOR PRONOUNCEMENT ON SR.PS 7. DATE OF UPLOADING ORDER SR.PS 8. FILE SENT TO THE BENCH CLERK SR.PS 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK 10. DATE ON WHICH FILE GOES TO THE A.R. 11. DATE OF DISPATCH OF ORDER. *